We are pleased to announce that van Biema Value Partners and Chuck Royce have selected Caravan Capital, a $10-$50M Emerging Markets Hedge Fund, as the final winner of the van Biema Value Partners Ex-US Small-Cap Challenge, a special initiative designed to identify talented, under-the-rader fund managers. This follows an exhaustive 10-month diligence process examining all 5 finalists' funds.
To quote the van Biema/Royce team:
“We were pleased and impressed by the overall high quality of the submissions, and have enjoyed our follow-up conversations with our several finalists. Through their submission and our subsequent meetings, Caravan demonstrated a true contrarian mindset, keen attention to the key risks inherent in both the markets and businesses they invest in, and a thoughtful, collaborative approach to working with managements to effect relatively simple, straightforward measures to catalyze value realization. We believe such an engaged, on-the-ground approach works well when investing in small businesses run by smart, receptive management teams, and Ben exhibits the thoughtful, respectful temperament such a strategy calls for.
In conjunction with the award, van Biema Value Partners and the family offices of Michael van Biema and Chuck Royce, clients of van Biema Value Partners, will continue discussions with Caravan regarding a potential investment. In addition, van Biema Value Partners will provide operational advice to Caravan as it works to grow its emerging business. We look forward to our continued dialogue and to a long and profitable relationship.”
Caravan Capital, a Tacoma, Washington-based equity hedge fund, describes its strategy as follows:
Caravan Capital Management LLC manages investments in the frontier and emerging equity markets for institutional and HNW clients. The firm currently manages a globally diversified frontier fund as well as a concentrated, activist strategy in frontier and emerging markets small capitalization companies. Caravan applies a value discipline focused on the unique inefficiencies present in these highly inefficient markets. The Caravan Team has combined total experience in the frontier and emerging markets of more than 50 years.
In conjunction with SumZero, van Biema and Chuck Royce will be hosting an invitation-only investment conference in New York City on April 4, 2019. The goal of the conference will be to introduce several small, disciplined value-oriented managers – most of whom we are currently invested with – to like-minded long-term investors. Presenters will include what we believe to be compelling, under-the-radar managers employing diverse value approaches across various geographies.